Coronavirus company news summary – Subsea 7 registers $922m net loss – Saipem reports new order backlog peak

30 July 2020 (Last Updated July 30th, 2020 09:40)

30 July

Subsea 7 has reported a net loss of $922m in the second quarter of this year as it restructures its business amid Covid-19 crisis. In the same three-month period last year, the company registered an income of $24m. The company booked a $229m impairment related to property, plant and equipment and right-of-use assets, and another $578m in goodwill charges.

French oil and gas company Total is set to take an $8bn write-down after it trimmed oil and gas price outlook in the wake of Covid-19 crisis, reported Reuters. The company primarily reduced the value of its Canadian oil sands projects leading to an impairment of $1.5bn. Total revised its Brent oil price prediction to $35 per barrel this year and $40 in 2021.

US-based Concho Resources has reported a net loss of $435m for the second quarter of 2020. The company also increased its cost reduction target for the year to more than $135m to boost capital flow amid Covid-19 pandemic. In the second quarter, oil production amounted to 200MBopd, marginally dropping from 206MBopd registered in the same period a year ago.

Italian oilfield services company Saipem has announced that its backlog has increased to €26bn with new acquisitions. In the first half of the year, the revenues stood at around €3.7bn reflecting some deferments of activities due to Covid-19. It also took a €669m impairment and write-down of assets, primarily from the offshore drilling division.